Cross-Border Crypto Rules Risk Driving Business Offshore

New cross-border crypto rules proposed by authorities could have unintended consequences for the industry.

The regulations, which are designed to enhance surveillance of cryptocurrency transactions, may drive legitimate business offshore and lock companies out of the booming stablecoin market.

Crypto exchanges will be required to report any transfer of cryptocurrency from a local exchange to a private self-custody wallet, adding another layer of complexity to already overburdened reporting requirements.